Executive Summary

Human resource management (HRM) is the strategic and coherent approach to management of organizations most valued assets, its employees. Personnel wor ing there individually and collectively contri!ute to the achievement of the o!"ectives of the !usiness. #very organization regardless of its size and structure need to direct its employees in order to accomplish desired !usiness goals and o!"ectives. $ccordingly, it develops and implements its own human resource management concepts. %he !asic functions of human resource management are divided into seven different categories. %hese are Planning, Recruiting, &election, &ocialization, %raining and 'evelopment, Performance $ppraisal, (ompensation, )a!or relation, and Motivation function. %his report titled, *Recruitment & Selection: a Comprehensive Study in the Pharmaceutical Industry+ will focus on the recruitment and selection process of the pharmaceutical industry in ,angladesh. %he pharmaceutical industry is one of the fastest growing industries in ,angladesh with high !usiness potential. %he local companies are see ing to e-pand its operation into international mar et, at the same time competing fiercely for the local mar et. %he pharmaceutical industrys core competence lies in its people and its intellectual capital. Hence this industry demands the most .ualified and s illed la!or force availa!le in the "o! mar et. /or collecting our primary data, we have conducted interviews of human resource personnel of leading pharmaceutical companies. 0e tried to find out the actual recruitment and selection practices in the industry and highlighted crucial facts and diverse practices. 0e carried out detailed research on this topic and used other secondary sources such as internship reports, !usiness articles, pu!lications etc for data collection. 1ur report ela!orates findings of the recruitment and selection process that is currently !eing practiced in the different pharmaceutical companies. 0e have tried to present any variation that does e-ist in different companies and forward via!le and logical e-planation as to why such anomalies e-ist. /inally the findings were analyzed to ma e a comparative study of the recruitment and selection process in pharmaceutical industry. 0e also conducted e-tensive evaluation of the collected data and tried to uncover the predominant wea nesses and strengths of the industry practices !ased on our academic nowledge. #valuation was done against the guidelines provided in several te-t !oo s. &eparate evaluation results for recruitment and selection process were drawn up. 0e have put forward recommendations that we conclude to !e most !eneficial for the industry !ased on our evaluations for the selection and recruitment process. 0e ended our report with a few conclusions.

Recruitment & Selection: a comprehensive study of the practices in the Pharmaceutical Industry Introduction $ loo at todays fast2moving and changing !usiness world will show that only hard wor will not help the organization and its people to reach the full potential. %o fulfill its mission and vision, the organization needs employees who not only complete their wor efficiently !ut also respond positively and fast to any changes that organization may have to go through to eep pace with the ever2changing e-ternal environment. %hus modern management treats its people as resources since *assets ma e things happen and people ma e things possi!le+. %he companys core competence lies in its people and its intellectual capital. %herefore ac.uisition, deployment, and retention of sufficient s illed manpower are cutting edge for an organization. &o an effective recruitment and selection process holds the ey to an organizations future success. %he pharmaceutical industry of ,angladesh has an enormous growth potential. %his industry has !een rapidly improving its manufacturing facilities presenting the need of ac.uiring .ualified and effective recruits for operation. %he industry is a sensitive one as it produces medicine and re.uires e-perienced and educated people from production level to pac aging. $ single mista e in any of the levels can prove to !e life ta ing and ultimately lead to the fall of a company. %herefore the recruitment and selection of "o! applicants in this industry is very crucial and must !e done with great caution. %he proposed study serves the purpose of learning the steps involved in the recruitment and selection process of this industry.

1rigin of the report

%his report titled, *Recruitment & Selection: a comprehensive study in the Pharmaceutical Industry+ is written and su!mitted as a course re.uirement.3nder the M,$ (Masters of ,usiness $dministration) program of the 3456#R&5%7 1/ 54/1RM$%514 %#(H41)187 9 &(5#4(#&. 5t was assigned !y the course instructor,

Reasons and ,enefits

%he reason for choosing the recruitment and selection of HRM activity for study is that these are activities through which applicants get in an organization. $ study on these topics will give us an insight on how, when, and where "o!s are advertised, what specific and general things to consider when applying for a "o! and:or sitting for an interview. %he study will also inform us how an applicant is evaluated for hiring. %his will further assist us while applying for "o!s after the completion of the degree. %he consideration of the pharmaceutical industry for the study is due to its growing potential in the "o! mar et. %his sector offers "o!s involving data communications, mar eting, !randing etc. Moreover this industry has e.ually strong multinational and local companies. in addition, the availa!ility of secondary information for this industry made us choose it for the report.

1!"ective
1!"ectives of the report contain !oth primary and secondary o!"ectives. %hese are e-plained !elow;

Primary Objective
%he primary o!"ective of the study is to accomplish a descriptive analysis of the recruitment and selection process of the pharmaceutical industry. %he study will portray the similarities and differences of the recruitment and selection processes of several pharmaceutical companies and try to identify the factors that account for such differences.

Secondary objective
%he secondary o!"ective is to find the pro!lems and wea ness underlying the Recruitment and selection process and to relate how the organization structure and management style relate to such deficiencies.

Methodology
%he study was !ased mostly on secondary data. 5nformation was collected from several online resources, internship reports and other pu!lications. /or !uilding the framewor for the recruitment and selection process of the industry, practices of leading pharmaceutical companies such as 8la-o&mith<line, &.uare Pharmaceutical, $(5, $(M#, 1psonin and ,e-imco Pharmaceutical were studied e-tensively. 1ne ma"or assumption was that other pharmaceutical facilities follow the ideal framewor of the studied companies. 5nterviews of the HR head of $(M# la!oratories was ta en to match for the general information collected from the literature reviews with actual practices. %he interview also shed light onto certain issues not discussed in the internship reports and articles. $fter data collection, the data was analyzed .ualitatively and organized in order to compile them in the form of a complete and deductive report. Scope %he study is limited to the pharmaceutical industry of ,angladesh. %he study in.uired into the recruitment and selection process of the pharmaceutical industry which includes large manufacturing and e-port facilities such as &=3$R# and ,#>5M(1. %he report is !ased on literature review? attempt will !e made to learn and understand the relevant processes, find similarities and differences within different companies in the industry and to identify issues that greatly affect the recruitment and selection processes. 4o evaluation of the stated processes has !een done.

)imitations

0hile completing the report, several limitations had to !e faced. %he ma"or limitations are as follows;

%he report is confined to information collected from secondary sources, mainly online term papers, internship reports etc. 4o surveys were conducted to verify the validity of the information. 'ue to lac of e-perience and advance e-pertise, there may !e faults in the report? though ma-imum caution has !een ta en to avoid any ind of mista es. %here was a time constraint for which field survey such as visit to operating plants, HR office etc is not possi!le. %his prevented us to get the in depth nowledge of the processes.

Overvie of the Pharmaceutical Industry in !an"ladesh 5n ,angladesh, pharmaceutical is one of the fastest growing sectors. 5n @ABB, the total size of the pharmaceutical mar et of ,angladesh was estimated to !e 3& C D@A Million. 0ith an annual growth rate of E@F, ,angladesh pharmaceutical industry is now heading towards self2sufficiency in meeting the local demand. $t present, there are @@D registered pharmaceutical manufacturers in ,angladesh. ,angladesh pharmaceutical industry is the second highest contri!utor to the national e-2che.uer after to!acco, and it is the largest white2collar intensive employment sector of the country. $ccording to a wor ing document of 5nternational %rade (enter (34(%$':0%1), ,angladesh mar et size for pharmaceuticals is 3&C DBG million. )ocal companies satisfied HAF of domestic demand with a BAF contri!ution from multinational companies. =uoting the report, the pharmaceutical sector is the second largest sector (after agriculture) in terms of national revenue. #mployment in the sector is more than GD,AAA. %he value of e-port for essential drugs is 3&C E.B million and natural ingredients 3&C IH thousand. 5t e-ports drugs to over DA countries in the world, !ut mainly to ,hutan, &ingapore and 7emen. %he e-port mar et is on a rise each year. %he countrys pharmaceutical sector witnessed an unimagina!le investment !oom in last couple of years as around %a a @D !illion has !een ploughed into it alone. 5nvestment worth ta a @A !illion is on way as the government has decided to set up an $P5Par in (hittagong with the facility to house @A plants. 5n the last few years as many BA companies each investing %a a IAA million or more have emerged. &ome are already mar eting their products while others are in the process. %he leading companies are also ta ing innovative, forward2loo ing steps. %hey have set their eyes firmly on the 0%1s %R5Ps (%rade related 5ntellectual Property Rights) and Pu!lic Health agreement, which promises ,angladeshi companies the opportunities to e-port !illions !etween @AAD and @ABJ. (ompanies in ,angladesh are allowed to produce patented products. Progressive patent e-piration and the implementation of regional trade agreements are e-pected to underscore the importance of the $sian regions potential for e-panded production capacities. (ompliance to international standards, e-piration of patents and the investment !oom has resulted in the e-pansion of e-isting companies and the initiation of new companies. &uch an

e-panding industry therefore is going to put su!stantial pressure on the recruitment and selection of suita!le employees for the organizations. More factories mean more employment thus a !etter economic fluency of the country. %o provide the industry with efficient and motivated wor force, the companies have to design and develop a very integrated recruitment and selection system incorporating traditional system with todays availa!le technology. 5n the later chapters of this report, the e-isting recruitment and selection methods of the pharmaceutical industry is discussed along with the evaluation of the processes. %he report is concluded with a few recommendations that is made in sight of the evaluation. #i": Sales $ro th %&'()

$eneral Overvie of Recruitment and Selection Process $c.uiring and retaining high2.uality talent is critical to an organizations success. $s the "o! mar et !ecomes increasingly competitive and the availa!le s ills grow more diverse, recruiters need to !e more selective in their choices, since poor recruiting decisions can produce long2term negative effects, among them high training and development costs to minimize the incidence of poor performance and high turnover which, in turn, impact staff morale, the production of high .uality goods and services and the retention of organizational memory. $t worst, the organisation can fail to achieve its o!"ectives there!y losing its competitive edge and its share of the mar et. RECR*I+,E-+ Recruitment is descri!ed as *the set of activities and processes used to legally o!tain a sufficient num!er of .ualified people at the right place and time so that the people and the organization can select each other in their own !est short and long term interests+. 5n other words, the recruitment process provides the organization with a pool of potentially .ualified "o! candidates from which "udicious selection can !e made to fill vacancies. &uccessful recruitment

!egins with proper employment planning and forecasting. 5n this phase of the staffing process, an organization formulates plans to fill or eliminate future "o! openings !ased on an analysis of future needs, the talent availa!le within and outside of the organization, and the current and anticipated resources that can !e e-pended to attract and retain such talent. $lso related to the success of a recruitment process are the strategies an organization is prepared to employ in order to identify and select the !est candidates for its developing pool of human resources. 1rganizations see ing recruits for !ase2level entry positions often re.uire minimum .ualifications and e-perience. %hese applicants are usually recent high school or university: technical college graduates many of whom have not yet made clear decisions a!out future careers or are contemplating engaging in advanced academic activity. $t the middle levels, senior administrative, technical and "unior e-ecutive positions are often filled internally. %he push for scarce, high2.uality talent, often recruited from e-ternal sources, has usually !een at the senior e-ecutive levels. Most organizations utilise !oth mechanisms to effect recruitment to all levels. +.E RECR*I+,E-+ PROCESS &uccessful recruitment involves the several processes of; B. 'evelopment of a policy on recruitment and retention and the systems that give life to the policy? @. 4eeds assessment to determine the current and future human resource re.uirements of the organization. 5f the activity is to !e effective, the human resource re.uirements for each "o! category and functional division:unit of the organization must !e assessed and a priority assigned? E. 5dentification, within and outside the organization, of the potential human resource pool and the li ely competition for the nowledge and s ills resident within it? I. Ko! analysis and "o! evaluation to identify the individual aspects of each "o! and calculate its relative worth? D. $ssessment of .ualifications profiles, drawn from "o! descriptions that identify responsi!ilities and re.uired s ills, a!ilities, nowledge and e-perience? J. 'etermination of the organisations a!ility to pay salaries and !enefits within a defined period? G. 5dentification and documentation of the actual process of recruitment and selection to ensure e.uity and adherence to e.ual opportunity and other laws. Recruitment strate"ies and processes Recruitment may !e conducted internally through the promotion and transfer of e-isting personnel or through referrals, !y current staff mem!ers, of friends and family mem!ers. 0here

internal recruitment is the chosen method of filling vacancies, "o! openings can !e advertised !y "o! posting, that is, a strategy of placing notices on manual and electronic !ulletin !oards, in company newsletters and through office memoranda. Referrals are usually word2of2mouth advertisements that are a low2cost2per2hire way of recruiting. 5nternal recruitment does not always produce the num!er or .uality of personnel needed? in such an instance, the organisation needs to recruit from e-ternal sources, either !y encouraging wal 2in applicants? advertising vacancies in newspapers, magazines and "ournals, and the visual and:or audio media? using employment agencies to *head hunt+? advertising on2line via the 5nternet? or through "o! fairs and the use of college recruitment. SE/EC+IO%he goal of the selection process is to find the !est availa!le person for the "o!, a person with the nowledge, s ills, a!ilities, and motivation to successfully fill the position. Overvie of selection techni0ues #vidence2!ased !est practice for three of the most commonly used selection techni.ues is outlined !elow. (1 Curriculum vitaes 2 r3sum3s and ritten applications $ curriculum vitae ((6) : rLsumL provides valua!le information relating to a persons professional .ualifications and e-perience. $ll information in the (6 should !e verified where appropriate (e.g. as ing applicants to e-plain gaps in employment history). Re.uesting "o! applicants to address specific selection criteria (i.e., essential and desira!le) can improve the efficiency of reviewing (6s. &1 Conductin" intervie s &tructured interviews are recommended. $ structured interview involves as ing each candidate the same set of .uestions and assessing their responses on the !asis of pre2determined criteria. =uestions and assessment criteria should !e !ased on accurate, updated "o! descriptions. 5t is also helpful to develop criteria to categorise responses (e.g., as e-cellent, good, average and unsatisfactory). $n interview panel consisting of a representative selection of people may also !e helpful. %wo common types of structured interview .uestions are; M Situational 0uestions which as candidates a!out hypothetical scenarios that may !e encountered in the "o! and how they would respond in that situation M Experienced4based 0uestions which focus on specific e-amples of the candidates prior wor e-periences and their responses to past situations that are relevant to the "o! in .uestion. )1 Reference chec5s

Referees are useful for identifying past employment pro!lems and clarifying the accuracy of information presented in an interview or (6. 1nly a small percentage of all reference chec s are negative, therefore, it is often difficult to differentiate !etween candidates on the !asis of reference chec s alone. Recruitment Practices of the Industry %he recruitment process of pharmaceutical industry can !e generally classified into some types, which are done !ased on the various "o! grade: group. %hese are as follows; B) @) E) I) #ntry2level Management and officers M% (Manager %rainee) Mid or : and &enior level management 8raded staff : 4on2 management staff:&upport &tuff

$ responsi!ility for recruitment usually lies with the HR' (Human Resource 'epartment). %his department wor s to find and attract capa!le applicants. Ko! description and specification provide the needed information upon which the recruitment process starts. %he recruitment functions of HR' are given !elow;

4eed $ssessment 'efining the position description (hec ing the recruiting options $dvertisement

/orms of recruitment
%here are mainly two forms of recruitment used in the industry2 internal and e-ternal. %he form of recruitment varies from "o! to "o!. (hoice of recruitment form depends on several factors such as nature of the "o!, num!er of employees re.uired, "o! worth etc.

Recruitment planning
%he HR department first focuses on certain organizational and administrative issues for effective matching of vacant position with applicants.

1rganizational 5ssues
/ollowing 1rganizational issues are considered during recruitment process; 5n house vs. recruitment agency

Most companies use a com!ination of !oth. 5n house agencies are mostly used for internal recruiting as companies sometimes prefer nown and e-perienced employees from within the organization. Recruitment agencies are also currently used !y many companies, especially for top level position. /or e-ample, $(M# conducts head hunting via recruitment agencies. $n agency finds and prescreens applicants, referring those who seem .ualified to the organization for further assessment and final selection. %he agency can screen effectively only if it has a clear understanding of the position it is trying to fill. %hus it is very important that an employer !e as specific and accurate as possi!le when descri!ing a position and its recruitment to an employment agency. (entralized vs. decentralized $ centralized recruitment function is one for which recruitment activities are co2ordinate !y HR department in the corporate office. $ decentralized recruitment function is for which individual !usiness units individual manager co ordinates the recruitment process. (entralized recruitment function is present in most companies of the industry, as in most pharmaceutical companies recruitment re.uires the approval of management and HR' for manpower re.uisition. $lso the involvement of HR' during recruitment is essential. 5n some cases, decentralized recruitment is practiced for convenience. 5n $(5 local HR division does some recruitment of field wor er positions at $(5 pharmaceuticals factory in 4arayngan". %he reason !ehind this is high attrition rate and greater replacement needs in short time at field. 5n such scenario decentralized approach is used to ac.uire cost effective and ensure flow of operations.

$dministrative issues
%he following administrative issues might also !e considered !y the companies during recruitment process2 &taff engagement proposal $ staff engagement proposal is a formal document proposing the filling of a "o! opening stated and approved !y the top management. %he concerned 'epartment head usually raise "o! re.uisition form with re.uired information and forward it to HR' for review and after it is "ustified !y HR' and approved !y management recruitment process is ta en further. %he new appointments must !e according to the approved Human Resource (HR) !udget and must !e approved !y the Managing 'irector. 4um!er of contacts %he e-act num!er of contacts needed to fill the vacant position can !e difficult to identify. HR usually reviews the "o! re.uisitions and consults with related department heads to assess how many applicants must !e contacted against the "o! opening.

%ypes of contacts %he types of contacts needed depend on some varia!les. /irst, .ualifications needed to perform the "o! are implemented clearly. 5t is done through "o! analysis process which is used to identify "o! description and "o! specification. &econd, "o! search and choice process used !y applicants is also considered. (ompanies try to recognize the suita!le mode for applicant search and identify ways to attract "o! candidates. 'evelopment of recruitment guide (ompanies usually develop some sort of recruitment guide which consists of details regarding recruitment approaches to !e followed. &electing recruiters Recruiters come from various sources, including HR personnel, Head of !usiness unit or divisions, senior managers etc. &ometimes recruiters are hired from outside, if re.uired.

&trategic development
$fter the completion of recruitment planning, HR proceeds with development of a strategy. $ general strategy development process includes;

Closed open and tar"eted recruitment

$fter the approval of the staff proposal, HR department determines where to find applicants. 5n practice, during the assessment of the "o! the following things are to !e considered;

0hether the wor is difficult or not. 0hether e-perience is re.uired or not. 0hat are the .ualities needed for the wor to !e doneN 0hen the wor will !e startedN 0hat is the desired "o! demographicN

$lso recruitment sources and applicant interests also have to !e considered.

Recruitment sources
1nce it is specified how and where to loo for applicants, various sources are used for applicants search. %he companies in the industry use a variety of sources. 'ifferent sources are used depending on situation.

5nternal sources Ko! posting HR departments !ecome involved when internal "o! openings are made nown to employees through "o! positioning programs, which informs employees a!out openings and re.uired .ualifications and invite .ualified employees to apply. %he notices are usually posted on company !ulletin !oards or are placed in the company newspaper. %he o!"ective of "o! posting is to encourage employees to see promotion and transfers and to help the HR department fill internal opening and meet employees personal o!"ectives. Ko! posting is most common for lower level positions and for recruiting support stuff. Promotion and transfer &ome companies use s ill inventories and succession plans to fill the need for recruitment. $(M# uses this approach particularly in the field where Medical representatives may go up the career ladder according to their performance and immediate supervisors recommendations. 1nly entry level position is recruited from outside sources. Manager referrals and networ ing Manager referrals and internal advertising through networ ing is another source of recruitment used !y some pharmaceutical companies in the industry. Retired and retrenched employees Retired employees may also !e recruited once again in case of shortage of .ualified personnel or increase in load of wor . %heir e-perience often proves valua!le to the company and saves time and cost of the organizations. 5n $(M# some retired employees are recruited for contractual "o!s. #-ternal sources Most companies underta e e-ternal recruiting more as internal sources can only fill recruitment need up to a certain level. Many e-ternal sources are availa!le. %hey are given !elow; $dvertisement $dvertisements are given to newspapers when e-ternal sources are used. 3sually it is more applica!le for recruitment in higher level positions and when mass recruitment is conducted, for e-ample recruitment in the field. ,oth ,engali and #nglish daily 4ewspapers are used for advertisement. &ome companies li e 8&< depend largely on newspaper advertisement for recruitment. (ompanies such as ,e-imco Pharma )td. (,P)), eeps its identity concealed in the ads, mentioning a 8P1 ,1> num!er only. %he purpose of the concealed identity is to avoid the unwanted pressure from the sta eholders for the employment of their desired candidates.

However, for support stuff most companies do not give out advertisement, rather internal advertisement is mostly used. 0e!sites 0e!sites have !ecome a popular and convenient mode of recruitment for !oth companies and applicants. 0e!sites such as !d"o!s.com facilitates such recruitment. 3nsolicited applications, 0al 2ins and write2ins 0al 2ins are some see ers who arrived at the HR department of companies in search of a "o!? 0rite2ins are those who send a written en.uire. ,oth groups normally are as ed to complete an application !lan to determine their interest and .ualifications. 3sa!le application is ept in an active file until a suita!le opening occurs or until an application is too old to !e considered valid, usually si- months. Most companies use unsolicited application as it ensures a relatively !ias free recruitment. (6 !an s %he unsolicited applications stored in the data !an are consulted. 5f the .uality of a person matches with the re.uirements mentioned in the position description, then he : she is called for interview. #mployee reference and networ s #mployee reference means using reference of current employees. #mployee reference is used !y many companies in the industry to avoid falsified information given !y "o! candidates. ,ut in some companies such as $(M# it is mostly discouraged as they prefer recruiting from other sources. 3niversity and placement offices &ome companies see s applicant through universities and placement offices. /or instance, $(5 recruits largely from such placements !ut, for some companies such as $(M# these sources have !een rather unsatisfactory. 3nconventional sources (urrently pharmaceutical industry is rapidly growing and the competition is intense in the mar et. &o naturally the need for hiring the !est employee has !ecome one of the top priorities of companies. &ome companies have started using unconventional sources of recruitment, particularly for high positions. /or e-ample in $(M#, 5ndenters or !ro ers, who are the local agents of raw material suppliers have proven useful source as they have ample information regarding the pharmaceutical companies.

(hoice of sources

%here is no single !est way for recruitment. %he choice depends largely on the situation and need of the organization. &ome factors influencing the choice process have !een given !elow; =uantity of la!or %he num!er of "o!s vacant is an important determinant. &ometimes organization conducts an overall review once in a while as was done in $(M# in @AAH to get a clear picture of the recruitment needs and possi!le "o! openings. 0hen mass recruitment is done, companies usually use more e-ternal sources to attract larger num!er of applicants. =uality of la!or 5f "o! re.uirement is very high and applicants are rare then special attention is given to recruitment. 1rganizations may contact recruitment agencies, advertise through newspapers etc. ,udget constraint 0hile choosing sources companies always opt for less costly and more effective sources. #-perience re.uired %he choice of sources may also depend on the e-perience needed as per the "o! re.uirement.

Manpower approval process

0henever the position !ecomes vacant the department head e-amines if the "o! can !e redistri!uted among remaining staff or if it is at all relevant during present circumstances. &uch critical "o! analysis and e-ploration of possi!ility of not replacing departing employee ensure organizational efficiency and staff productivity. 0hen recruitment is necessary which has no prior approval, staff engagement proposal is prepared !y the head forwarded to HR. /or replacement and selection for position within the sanctioned strength limit new staff engagement proposal may not !e necessary. HR evaluates the proposal and forwards it to management along with "o! analysis information such as "o! description, "o! specification etc which are usually supplemented !y related department heads. $fter receiving approval HR notifies related 'epartment head and proceeds with the recruitment process. 5n most organizations, a manpower !udget has to !e su!mitted each year !efore a particular date for evaluation. &ometimes department heads ta es approval in advance for a year for certain positions. 5n $(5 such procedure is followed for entry level positions. ,ut when increasing manpower is !eyond sanctioned limit, approval must !e ta en.

$pplicant &earching
$fter completion of recruitment planning and strategic development, HR starts candidate searching. $ message is developed and a medium to communicate the message is selected.

Communication messa"e
5nformation presented !y the company is essential in the decision of the applicants. 1rganizations may use any four types of messages;

%raditional messages Realistic recruitment messages $ttractive messages %argeted messages

(ommunication messages play a vital role of creating a positive image of the company to "o! see ers. 1ne of the leading pharmaceutical companies $(5 uses traditional and attractive messages depending on situation. $(5 portrays the organization in such a manner which induces applicants to apply2 *Koin and stay with $(5+. 1ften communication message for non management positions is in ,engali in order to eep communication noise to a minimum.

Means of (ommunication
4ot only the communication message !ut also the choice medium is very important. $ lot of communication medium is used as given !elow;

$dvertisement2 o (lassified advertisements

o o o o

(lassified displayers 'isplay ads 1nline adds 3niversity placement office:4otice !oards

$dvertisement 8uidelines
5n any advertisement company may have guidelines and procedures to ensure attractiveness of the advertisement as well as ma-imum visi!ility and mass coverage if needed. HR department usually ma es draft of advertisement and after finalizing it with related department head

forwards it to communication department for pu!lication. $ copy of the advertisement may !e posted on company notice !oard so that employees are informed a!out the recruitment process and may even refer suita!le candidates for the "o!. /ollowing items may !e included in the advertisement2

(ompany name and logo ,rief a!out the company %itle and summary of "o!s Re.uired .ualifications and personality traits (ontact address for application #ncouraging and attractive words for candidates

&election Practices of the 5ndustry

$fter completion of the initial stages of recruitment process, the human resource department is responsi!le for choosing the most suita!le candidate from the selected applicants. 5t is a crucial stage in which the applicants .ualifications and needs are matched with the re.uirements and rewards of a specific "o!. %he pharmaceutical companies practice more or less a standard recruitment and selection process. &ometimes there is evidence of slight deviations to meet the specific re.uirements of companies. $ figure illustrating the steps in general selection process of the industry is given in $ppendi- '. %he general practices of the industry are ela!orated !elow.

8uidelines on &election of &taff

%he HR department often in colla!oration with other departments conducts various employment tests to ensure a high hit rate. %he employment test varies according to "o! re.uirements and seniority level. B. 0ritten %est %he employment test first initiates with the written test. 5t has !een proved to !e an effective and useful tool in selecting desira!le candidates for the industry. %he HR department prepares the .uestion pattern, selects the venue and time slot of the written test. %he .uestions are mostly !ased on general nowledge used to measure the applicants understanding and communication s ills. 5n most pharmaceutical companies the written test is only applica!le for assessment of "unior management, unionized and non managerial contracts. $cme la!oratory uses the written test when there is large scale recruitment. %he written test narrows down the num!er of applicants

and prunes out the !est amongst all the candidates. 5n their opinion written test is vital for selection of MP1, &R and MR. %he candidates are then called for the preliminary (first) interview !ased on their performance in the written test. B. 5= %est 5= test is practiced !y a handful of pharmaceutical companies. %his test chec s for the analytical s ills of candidates necessary for .uality control (=() purposes. /or e-ample, $(5 conducts 5= test for all management and non management contractual position. HR is solely authorized and responsi!le for selecting the .uestion patterns, venue and time for 5= test. &everal other traits of the candidates are analyzed through different assessment tests to ma e sure that only the !est candidates are o!tained. %hese tests will !e e-plained in detail later in this section. B. &election 5nterview &election interviews are the most widely used selection techni.ue. %he popularity stems from their fle-i!ility. %hey can !e adapted to uns illed, s illed, managerial, and staff employees. %hey also allow a two2way e-change of information. 5nterviewers learn a!out the applicant and the applicant learns a!out the employer. %he selection interview usually is a formal, in2depth conversation conducted to evaluate an applicants accepta!ility. 8enerally the interview !oard applies structured or directive interview. %he interviews are conducted on a predetermined set of .uestions. %he .uestions are developed !efore the interview !egins and are as ed of every applicant. %he pharmaceutical companies have adopted different interview practices for the selection process. %o illustrate, $(5s practice can !e ta en into consideration. $(5 ad"usts its interview process according to the "o! level. /or "unior management, unionized and non managerial employees, interview is conducted in a single phase. /or mid level management interview is conducted in two phases. 5n the first phase interview is conducted !y senior e-ecutives from HR department and concerned department. %he final phase is conducted !y Head of HR 'epartment and Head of ,usiness:/unction. /or senior management interview is also conducted in two phases. %he initial phase is conducted !y Head of HR 'epartment and Head of ,usiness:/unction, the final phase !y Managing 'irector. 1n the other hand, ,e-imco Pharma (,P)) follows a three2tier interview structure. $ preliminary interview is conducted which follows the *elimination method+. $fter that, the second interview ta es place with a very few num!er of candidates. %hen finally the selected applicant is called for the final interview.

B. Reference (hec s and Medical #valuation %hese chec s are sometimes done during the initial assessment or as a re.uirement of the pre2 employment chec list. %he method is e-plained in the section I.E. B. &alary 4egotiation 5n this case the industry follows a uniform process. %he heads of HR of the respective companies negotiate salary with the suita!le candidates whenever necessary. B. Ko! offer %he head of HR offers the "o! to the selected candidate after the final approval is o!tained from the management.

I1

6erbal offer:

%he ver!al offer of the role to the candidate is given once the medical and reference chec s have !een successfully completed. II1 7ritten letter offer:

$ formal written letter of offer is forwarded to the candidate, once the candidate has ver!ally accepted the position. %his letter is sent to the candidate within two days of ma ing the ver!al offer. $n introductory pac age is sent to the successful candidate, along with the letter of offer. $t least one wee !efore the person "oins the new position, an appointment notice is placed on notice !oards and:or the internet

$ssessment tests
Most pharmaceutical companies use two types of assessment test in the selection process

5nitial $ssessment Method &u!stantive $ssessment Method

5nitial $ssessment Method

Most pharmaceutical companies use the initial assessment method to reduce the cost associated with su!stantive assessment method !y reducing the num!er of people to !e evaluated. %hese methods are used for most types of selection decisions. %hese methods usually include;

Resumes and (over )etter (ertificate of 3niversity 'egree: #ducational 5nstitution

(ertificate of H&( or &&( or e.uivalent degree Reference (hec

Choice of Initial 8ssessment ,ethods %he choice of initial assessment method used !y different pharmaceutical companies is !ased on the companies evaluation of applying the most cost effective method without sacrificing the .uality of the initial assessment test. &ome of the factors most companies do consider !efore drafting out the method are;

(ost Relia!ility 6alidity 3tility $pplicants Reaction and Response

/or internal employees who are applying for the "o! openings, most companies prefer to s ip the initial assessment methods since they had already !een evaluated !efore and the companies have their wor histories along with the necessary documents in their HR' records.

&u!stantive $ssessment Method

%he type of su!stantive assessment method used depends on the position and "o! nature. 5t also depends on whether the recruiting is from in house sources or e-ternal sources. %he different types of su!stantive methods conducted depend on the HR policies and what the HR department deems most appropriate for their company. &ome common methods are;

Personality %est $ttitude and Honesty %est $!ility test 8eneral <nowledge %est Ko! <nowledge %est

Personality +est %his is one of the most common employment test used in the pharmaceutical industry. &ince the "o! description re.uires MP1s, &R and MR to deal with doctors on a one to one !asis, most companies !elieve the personality along with soft s ills is critical for such employees. $cme )a!oratories considers its &R employees to !e the am!assadors of $cme. %hey represent $cme as a whole and as such, they put a lot of emphasis on this particular test.

8ttitude and honesty $ttitude and honesty tests are !eing used in the same circumstances to learn a!out the attitudes of applicants and employees toward a variety of related su!"ects. 8&< management sometimes applies this test when selecting candidate for the finance department. 8bility test $!ility test are used to test a persons cognitive s ills (perception, memory, reasoning, ver!al and mathematical s ills). $!ility test are used for non management level and entry management level in the pharmaceutical industry. %he a!ility test is usually only ta en in written form or during the written test. $eneral 9no led"e +est 8eneral nowledge test ta en during the written test attempts to measure the employees level of awareness of his or her surroundings, a!out the company and the industry. Most companies apply general nowledge test in the selection process. $cme la!oratories use this test to find applicants who are smart, intelligent and up to date a!out recent events.

:ob 9no led"e +est Ko! <nowledge %est attempts to directly assess an applicants comprehension of "o! re.uirement. 5t can as specific or general .uestions a!out the "o!. Most companies prefer to s ip this test whereas $(5 !elieves this test does have a su!stantial input to the selection process. (ompanies that prefer to s ip this test li e $(M# and ,e-imco later give training to the new employees to fill in the gap, if there is any, in the "o! nowledge of employees. Choice of Substantive 8ssessment ,ethods %he choice of su!stantive assessment method used !y different pharmaceutical companies is !ased on the companies evaluation of test that is re.uired for different selection decisions. &ome of the factors are

%ime (onvenience Relia!ility 6alidity 3tility Manpower re.uired

Pre employment (hec )ist

%he following documents are o!tained from the candidate !efore the HR 'epartment send out the employment letter.

$pplication /or #mployment Medical 'eclaration /orm (opy of #ducational (ertificate Passport size Photo Resume 5nterview Rating /orm

#valuation of the Recruitment and &election Process

$c.uisition, deployment and retention of sufficient s illed manpower are the cutting edge for an organization. %hese things greatly depend on effective recruitment and selection process. %here is no ultimate guideline regarding the recruitment and selection process of any organization. &econdary information regarding the processes in ,angladesh is also .uite minimal. 5n order to evaluate the e-isting practices of the industry guidelines stated in several human resource !oo s were used. 5n a few cases the discretion was ta en to suggest some improvements apart from the te-t !oo guidelines.

#valuation of the Recruitment Process

Recruitment is the initiating step of allowing human resources into an organization. &ince it is the !eginning phase it is one of the most important HRM activities. 5t should start with proper planning of the personnel needs and end with the attainment of a large pool of accepta!le applicants. $ higher selection ratio is preferred as it ensures higher possi!ility of the applicant to turn out to !e actual "o! performer. %he analysis of the recruitment practices of the industry identified certain pros and cons of the system. %hese points are e-plained in this section. &trengths of the Recruitment process;

3se of centralized recruitment is .uite prevalent in the industry. 1ne of the essential advantages of this practice is that it eliminates duplication of effort. /or e-ample, administration officer and coordination officer are common posts. &o if two or more !usiness units re.uire a coordination officer, the one ad is placed instead of multiple ads for multiple !usiness units. Previously collected resumes can !e used for the same !usiness unit or another !usiness unit.

However, some companies such as, $(M# allow the separate !usiness units to carry out their own recruitment with approval of their central HR department.

'elegation of recruitment practices to factory units:su!units is sometimes done !y the HR', in order to save costs and time. /or e-ample, $(5 delegates the recruitment for its 4arayangan" factory to the manager of the factory so that the specific needs of the factory can !e met. %he companies in the industry uses recruitment and selection protocol as guide to recruitment and su!se.uent selection process which ensures thorough analysis of the "o! !efore a position is !eing advertised. %he recruitment system of the industry strictly follows the re.uirement of ##1. %he companies mention it in their advertisement message as a promotional tool. Many pharmaceutical manufacturer uses university placement offices to attract fresh recruits. %his helped to !uild a relationship with the agricultural university and pharmacy department of ma"or pu!lic university. (6s are collected of precise candidates from these sources virtually at no cost.

0ea nesses of the Recruitment Process;

5n case of internal recruitment the industry does not propose any mo!ility guideline or policy for the pharmaceutical companies. (ompanies such as, ,e-imco Pharma does not pay much attention to mo!ility policy while internally recruiting. %his may cause the violation of the mo!ility path which may lead to claims of employee favoritism and discrimination. 1n the other hand, some companies such as, $(5 follows the traditional mo!ility path. $lthough the traditional path is straightforward and easy to administer, it is .uite rigid and may inhi!it the matching of the !est person with the "o!. /or e-ample, the !est candidate may !e at two levels down or in another !usiness unit from the vacant "o! position. 5n the traditional system the candidate cannot !e considered eligi!le for the post. &urvey of the literatures and interviews of the related personals concluded that there is no written policy:guideline regarding recruitment !udget. Most of the companies including the M4(s have a semiannual:annual human resource !udget approved which discusses the recruitment activity minimally. Recruitment process is the most e-pensive component of the staffing system. Most of the staffing costs is contri!uted to this process. %he high cost of the process reinforces the importance of esta!lishing a well dev eloped recruitment !udget. $lthough the recruitment process of most companies involve the selection of recruiters. %here is no procedure for their selection. %his may lead to poorly conducted recruitment for the organization thus increasing the costs. Moreover, there is no system for rewarding recruiters for successful: effective recruitment which may have motivated the recruiters for !etter recruitment practices.

#-cept for some companies, in the industry there is no practice of computerized long term record eeping of previous applicants. /or e-ample, $(M# maintains (6 !an s manually for later use in the future. 5f these resumes were recorded electronically in a formal and well organized way, it would have !een easier for finding suita!le resumes for a post advertised earlier, especially when there is a time constrain. 0hile attempting to search applicants through advertisements, most of the companies prefer to eep their identity concealed in the ads, mentioning a 8P1 ,1> num!er only. %he purpose is to avoid the unwanted pressure from the sta eholders for the employment of their desired candidates. ,ut this way the companies ris losing talented candidate who would have applied for the same post had they nown the name of the organization. %his practice can result into ineffective recruitment when .uality of applicants is a critical factor to consider.

#valuation of the &election Process

3se of right selection process is the !ottom line for an organizations long run success. 1rganization can achieve competitive advantage !y selecting capa!le and motivated manpower. &election process starts with the collection of resumes of applicants and ends up with the final hiring decision. /or the !est possi!le match to !e achieved a series of well thought out activities need to ta e place. #ffective selection in the pharmaceutical organizations will eventually contri!ute in the successful operation of the industry. 0hile o!serving the selection procedure of the industry some strengths and wea nesses appeared on the screen &trengths of the &election process;

%here is a standard guideline for selection of staff that almost all the companies in the industry follow. 5n fact, since manpower need in this industry is acute, companies develop selection plan for each of the department at the !eginning of the year to o!tain the right employee at the right time. %he industrys practice is to carry out the reference chec and educational .ualification evaluation !efore the employment test. %his cur!s down the num!er of applicants to sit for the written test thus saving test assessment time and cost. 5n the selection interview process most of the companies such as, $(5, $(M#, ,#>5M(1 etc, use customized selection chec list and interview rating form for the particular positions. %his helps interviewers to as the right .uestions and remain focused on the interview rating form. &uch practices are generally carried out for mid level management and production departments.

0ea nesses of the &election process;

Most of the interview !oards consist of the HR representative, and mem!ers of management who are not professional in ta ing interviews. %he review of the "o! and person specification is not done vigilantly !y the other mem!ers of the interview !oard.

%here is no stated or esta!lished method of reviewing the selection process. %he method generally used !y some of the companies is to use recruiters follow up of information a!out the applicants performance. %here is no calculation of selection ratio, hit rate and their pattern over years to o!serve the effectiveness of the recruitment and selection system. 4o attempt is also made !y the companies to use e-ternal sources such as surveys, comparison against industry average and other means to find out the systems usefulness. $s a result, if any selection goes wrong it is difficult to ta e necessary immediate action. $ll these may eep the companies not in control of the staffing process which can result in the ineffectiveness of the HR activity thus adding up cost for the organizations. 5nterviews are the most practiced selection process in the industry. However the interviews are not structured enough. $ structured interview is a very standardized "o! related method of assessment. 'ue to the structure default of the interviews, their relia!ility and validity can !e .uestioned. /or e-ample, in the interview sessions of $(5 the interviewers are una!le to agree on their evaluation. %his happens !ecause they do not consider the same set of criterions for "udgment. $nd this is the conse.uence of a poorly structured interview.

%he industrial o!servation is to only accept a medical declaration form from the candidates although the relia!ility of such declaration is very low. 5n the form "o! see ers !arely disclose any such medical information that can affect the organizations decisions to offer "o! or not. 1ver the last few years, the pharmaceutical industry has e-panded and diversified into various !usinesses, employing more than GDAAA employees as the industry progressed. %he net sales and profit of the overall industry have also increased over the last D years and the trend for profit growth is upward. %he deployment of additional employees actually contri!uted in the operational effectiveness of the companies. %he turnover rate of employees is reasona!le within the industry !ut .uite high for some specific companies. 5n $(M# the turnover ratio is significantly high. %he main reasons attri!uted are employee characteristics of different regions and the availa!ility of su!stitute "o!s. /or e-ample, turnover ratio is .uite high in &ylhet as its inha!itants are considered to !e cautious a!out their honor and pride. 0hereas, in northern regions the turnover rate is little as "o! prospects in that area is low. %his is not only the case for $(M#, such pro!lems arise in many other companies that have to operate in rural or less developed regions of ,angladesh. %his crisis calls for the development of a retention strategy along with the recruitment and selection plans.

(onclusion and Recommendation

%he recruitment and selection process of the pharmaceutical industry is reasona!ly structured, efficient and capa!le to attain its desired o!"ectives. %he industry employs a!out GDAAA s illed

and uns illed wor ers !oth in the multinational and local manufacturers. %he industry has !ecome profita!le in the past years and have arisen e-porting possi!ilities to different countries. %his uptrend in the industrial activity is partly for the employment of advanced technology and partly for the effective recruitment, selection and management of the employees. 0hether recruiting for management or medicine production units, staffing processes are carried out with utmost care. %he HR' of the companies have to ma e sure that the mar eting and product development units are occupied !y eligi!le wor ers in order to ensure continuous functioning of the companies in this highly competitive and dynamic industry. $lthough the industry is wor ing out effectively, to sustain the huge demand in the upcoming times it has to attract more talented employees. %he pharmaceutical companies should start paying attention to a few gray areas in their recruitment and selection processes. %o improve these processes following recommendations have !een made;

5ntroduce the practice of innovative mo!ility paths; employees can have mo!ility within organization in any direction, including up, down and lateral. $ formal, approved and standard recruiter selection procedure should !e esta!lished Recruitment performance may !e included in the !alanced score card (performance appraisal system) of the recruiters to motivate them. %he data entry, logging, storing and retrieving of previous applicants information can !e computerized universally in the industry, to ma e search for eligi!le employees faster and cheaper. %he industry should employ intellectual and financial resources to continuously upgrade the recruitment and selection process to match the changing re.uirement of the time and situation. %he companies should stop relying on the same strategy and searching methods only !ecause they are familiar with the system and it is wor ing. %he companies should !e proactive to identify potential candidate searching methods and strategy to meet their goals. 1ne such e-ample can !e more use of online "o! sites, corporate presentation etc. %he companies should also try to develop more structured interviews. %he industrial practice of as ing for the medical declaration form only as a formality should !e changed. 5n order to ensure relia!ility of the data provided !y the candidates should !e thoroughly chec to avoid any legal crisis.

&everal mi-es of assessment tests can !e used during the employment tests. Realistic "o! preview is recommended in order to introduce the candidates to the type of wor s they have to do, the health instructions and the wor ing environment. %his e-tended step of the selection process will result in a higher retention rate and help potential candidates to overcome their cognitive dissonance.